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Breaking the Mould of the Malaysian Craft Business

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Friends Craft Cooperative is Malaysia's largest community craft centre, operating a successful pottery and wood studio in Seksyen 13, Petaling Jaya. The fully bootstrapped business executes three distinct models at once: renting affordable studio access to hobbyists, training apprentices from low-income backgrounds through a sponsored programme, and manufacturing commercial furniture and restaurant tableware. Through this diversified approach, the cooperative generates between half a million and a million ringgit in revenue and has doubled its growth every year for the past three years.

Founder Teoh Jia Chern operates the business with a sharp critique of the local artisanal space. He argues that much of the industry survives on "pity purchases" - expensive objects sold to T20 consumers and corporate CSR budgets entirely on the strength of the "handmade" label, rather than the quality of the product itself. Because this model relies on elite sustainability and a high price floor, it can never scale or deliver genuine impact. Friends Craft Cooperative was built to be the exact opposite, focusing on high-quality, scalable manufacturing that stands on its own merit.

Chern joins us to unpack the operational realities of running a three-in-one craft business and how they manage to compete with manufacturing giants like IKEA and Taobao. We explore the cooperative's highly unusual democratic profit distribution, and why Chern insists on earning the exact same salary as his senior team, and his strategic plans to make himself entirely replaceable.

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